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Compute the sales level required in both dollars and units to earn $105,000 of after-tax income in 2014 with the machine installed and no change
Compute the sales level required in both dollars and units to earn $105,000 of after-tax income in 2014 with the machine installed and no change in the unit sales price. Assume that the income tax rate is 30%.
2. Compute the predicted break-even point in dollar sales for year 2014 assuming the machine is installed and there is no change in the unit sales price. 3. Prepare a forecasted contribution margin income statement for 2014 that shows the expected results with the machine installed. Assume that the unit sales price and the number of units sold will not change, and no income taxes will be due. Compute the sales level required in both dollars and units to earn $105,000 of after-tax income in 2014 with the machine installed and no change in the unit sales price. Assume that the income tax rate is 30%Step by Step Solution
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